European Stocks Bounce Back After Steep Sell-Off

European stocks were trading higher on Friday (July 9) a day after a global sell`off was sparked by concerns about the economic recovery coming out of the pandemic.

The pan-European Stoxx 600 index was trading 0.7% higher on Friday. The index had slid nearly 2% a day earlier, with retailers dropping 3.2% to lead losses as all sectors and major bourses slid deep into negative territory.

Automotive and travel stocks were leading the European stock gains Friday, with each sector up by more than 1%.

The travel sector has been hit hard by COVID-19 restrictions, but news on Thursday that the United Kingdom is easing some of its quarantine rules is now boosting the sector.

The U.K. government said that double-vaccinated people will be allowed to travel without having to self-isolate on their return, unless they are traveling from a high-risk country. The British government also said it was working to lift quarantine rules for double-vaccinated people visiting the United Kingdom.

However, on Friday, shares in Asia-Pacific fell on renewed concerns about COVID-19. In Japan, the Nikkei 225 led losses among the region’s major markets as it fell 1.7%, while the Topix index shed 1.48%.